And the key to getting the information you need is working with a pro to see what’ll work best for your situation.2.

Rehab costs and ARV (After Repair Value) are key parts of evaluating deals, so it’s great that you’re diving into these concepts early.For rehab costs, creating a rough estimate starts with understanding the scope of work and local pricing for materials and labor. 

The key is to start when the right opportunity comes up.Good luck!

To start with, you should probably focus on a few key metrics.

Meeting the material participation hours is absolutely doable, even with a property manager, as long as you stay actively involved in key tasks like marketing, bookings, and bookkeeping.

Vetting Potential PartnersOnce I find a potential partner, what are some key questions I should ask or red flags I should look out for when vetting them?

Since my current strategy is BRRRR, I'm looking for a location where I can implement it successfully within my budget.I’d prefer to target the best neighborhoods or subdivisions I can afford, ideally with favorable eviction laws and other key factors.That said, I started wondering if there might be a better strategy to achieve my goals.

Additional Info —Key Details:Location: Outside Santa Fe, NMProperty Size: 20 acres (valued at $80,000)Project: Two new STR unitsExisting Experience: Family has two fully-occupied LTRs nearby, generating $2,000/monthConstruction Approach: Self-contracted with licensed trades for electrical/plumbingCost Assumption: $80,000 per unit, plus ~20% for inflation (based on 5–8-year-old build costs)Financing: Using land equity as down payment on construction loan (expecting closing costs to be major expense)Request: Looking for feedback, potential pitfalls, and general guidance

Given the photo of that fix/flip, I assume you're OK with a "fixer upper" or would you prefer a turn-key rental?

In the situation you're describing, all the leveraged owners of real estate will be the *first* ones to implode right off the bat (and have to turn over the keys to the bank).